The Brewers Association recently mailed brewery members a letter regarding percentage of dues not tax deductible due to lobbying activities. The same information is found in this post. This non-deductible percentage pertains to the amount that cannot be claimed as a business expense by BA members on their 2016 tax return.
The Brewers Association engaged in lobbying activities during 2016, and, as such, we are reporting to all Brewers Association members the percentage of those lobbying activities (expenses) as they relate to total membership dues.
Your dues payment as a business expense for the year 2016 will be limited by the percentage of dues that went towards supporting lobbying activities, and only the remaining portion of your dues can be claimed as an expense on your federal tax return.
Lobbying funds for the professional division in 2016 were related primarily to communications to educate elected federal representatives and senators and their staffs on the merits of excise tax recalibration bills H.R. 2903 and S. 1562.
If you have any questions about the implications of this information, we recommend you discuss with your accountant(s). If you need further information from the Brewers Association regarding this topic, please contact me.